Alisa Davidson
Published: July 15, 2025 at 11:00 am Updated: July 15, 2025 at 4:15 am
Edited and fact-checked:
July 15, 2025 at 11:00 am
In Brief
Kadena’s latest report highlights the growing institutional shift toward compliance-focused RWA token standards like ERC-3643, forecasting tokenized asset markets to reach up to $11 trillion by 2030.
Public Layer 1 blockchain platform, Kadena has released a report analyzing the current landscape and projected developments in the tokenization of real-world assets (RWAs), with a focus on standards designed to meet institutional compliance requirements. The publication reviews institutional adoption of various token formats, noting evolving market preferences and a growing demand for infrastructure that aligns with regulatory frameworks.
The report emphasizes that as institutional participation in RWA tokenization increases, compliance considerations are becoming a primary factor in determining how capital is deployed in blockchain ecosystems. Kadena’s findings indicate a shift toward permissioned token standards such as ERC-3643, which are being adopted by financial institutions to address regulatory obligations and enhance the viability of tokenized asset markets. The analysis details the limitations of legacy standards like ERC-20 and ERC-721, contrasting them with newer frameworks that are designed to meet institutional use cases.
According to the research, RWA tokenization projects account for an estimated total value locked (TVL) of between $12.4 billion and $25 billion as of July 2025. Kadena identifies ERC-3643 as a key driver of this momentum, noting that the standard underpins more than $32 billion in tokenized assets due to features such as identity verification, permissioned transactions, and embedded compliance functionality.
“The RWA space has moved way beyond speculation. We’re seeing real institutional adoption with over $32 billion in tokenized assets already using ERC-3643. The infrastructure bottleneck isn’t institutional interest, it’s compliance,” said Kadena founder Stuart Popejoy in a written statement. “You need KYC/AML verification, investor accreditation, and jurisdiction restrictions built directly into the token contracts. That’s why standards like ERC-3643 are winning—they solve the compliance problem at the protocol level instead of trying to bolt it on afterward. Without that foundational infrastructure, you’re just building another speculative market instead of upgrading capital markets,” he added.
Kadena Unveils Compliance-Focused RWA Token Standard, Projects Up To $11T Tokenized Asset Market By 2030
Kadena’s report identifies the emergence of RWA token standards beyond the Ethereum ecosystem, noting the introduction of its own RWA token standard developed using the Pact smart contract language. Supported by a $25 million grant program focused on tokenization initiatives, this standard integrates compliance mechanisms similar to those found in ERC-3643, while utilizing Kadena’s parallel-chain architecture to enhance scalability and security.
Initial applications of Kadena’s RWA framework are beginning to take shape. One example includes CurveBlock, a UK-based real estate fund that employs Kadena’s infrastructure to facilitate investor onboarding and the distribution of tokenized securities. CurveBlock focuses on tokenizing investments in carbon-neutral properties, illustrating a real-world use case for compliance-oriented blockchain infrastructure in regulated investment environments.
The report also examines other blockchain networks contributing to RWA tokenization efforts. Stellar is highlighted for its low-cost, asset-specific configuration capabilities, while Algorand is noted for its high-speed transaction processing and support for role-based permissions. These networks offer differentiated approaches suited to various institutional needs.
Kadena’s analysis positions regulatory-compliant token standards as foundational to the development of institutional blockchain markets. At the same time, it points to ongoing challenges and areas for improvement, including the need for interoperability across blockchains, adaptable compliance mechanisms, and stronger alignment with established legal systems.
The report projects that tokenized asset markets may expand, estimating total market growth to range between $2 trillion and $11 trillion by the year 2030.
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About The Author
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
More articles
Alisa Davidson
Alisa, a dedicated journalist at the MPost, specializes in cryptocurrency, zero-knowledge proofs, investments, and the expansive realm of Web3. With a keen eye for emerging trends and technologies, she delivers comprehensive coverage to inform and engage readers in the ever-evolving landscape of digital finance.
More articles
